I said if you were surrounded by people of means it does.
Put it this way to make if more clear. Kids judge each other harshly. It's why you just don't send you kids in cheap clothes to school.
When they are older and your kid is told they cannot come over since their car ruins the driveway, that even sets their playing field more uneven.
You can believe what you want. The OP is doing the right thing helping a relative that's being prepared with a realistic budget to by a car that is safe and reliable.
At my high school most kids from my neighborhood (we had to be bused to a cesspool for race adjustment) all had newer cars...mostly 3-4 year old $20k+ cars.
It sucks for the kid that didn't have that kind of priviledge and they were not getting invited to any of the parties. In fact if they showed up at just a field party, they'd usually be beaten up.
That's the reality of life, you can pretend that sending your kid to school in fake air jordans and some wranglers doesn't matter, but it does.
Lol. Clothes and vehicles are two separate issues, first and foremost. About all most kids would really consider is cleanliness. IE - If a kid was consistently showing up in ratty, dingy, smelly clothes, he would be out cast to some degree.
As to cars, uh, pretty sure a 2-5k dollar vehicle doesn't ultimately leak oil and everything other thing you described. Hell, my first car was an 88 Chevy Beretta. Car was perfectly reliable, leaked no fluids, and ran just fine. I think that one set me back just under 2k. And I would have to say no one really gave a shit about what anyone else was driving.
Your remarks are about as far to one extreme as they possibly can be. Ultimately, there are 1000s of vehicles out there in every region that are safe, reliable, and decent shape, and run no more than 2-5k bucks. Hell, the 03 Impala recommendation I made fits and I strongly doubt a vehicle of that age and 150k or so miles is going to be ruining driveways when properly maintained. Hell, I can throw that into CL every day of the week in my area and come up with a dozen or more recent results.
The main gist of everyone's point here is that spending 10-12k on a CHILD's car is a careless "investment." And to even suggest that driving a 5-10 year old vehicle is somehow going to affect the CHILD's development is mind numbing. The only development aspect that'll affect is how the CHILD begins to think future needs will be handled by his/her parents.
Granted, if the kid's mom has the clear funds for it, I suppose why not. But considering she is driving around in a 2000 model vehicle, I would like to think she doesn't have 12k just sitting around to throw at a vehicle for her CHILD.